Snowflake Signs $6B AWS Deal Fueled by AI

Snowflake has signed a $6 billion five-year agreement with Amazon Web Services, nearly matching the $7 billion total it has generated through AWS Marketplace since its 2012 founding. The deal is driven by surging AI adoption, with Snowflake's AI tool Cortex AI accelerating customer spending on AWS to $2 billion in 2025 alone. A key component of the deal is expanded access to Amazon's homegrown ARM-based Graviton CPU chips, which are increasingly in demand as AI agents require massive CPU processing power. The agreement follows a similar Graviton deal with Meta, signaling growing competition with Nvidia as cloud giants push their own more affordable AI chips.